Understanding E-Commerce

eCommerce or E-Commerce refers to any type of business transactions that is conducted electronically on the internet. ECommerce allows customers to exchange goods and services using internet without obstruction of time and distance. Now more and more people have access to the internet, so many industries or businesses are using ecommerce platforms to reach customers.

Another popular term i.e. Digital commerce (D-commerce), it is considered as a form of e-commerce dealing with exchange of goods electronically. Electronic commerce or digital commerce, made between companies is known as B2B i.e. Business-to-Business. Digital eCommerce, carried off between companies and buyers is known as B2C or business-to-consumer.

Types of eCommerce

Following are the types of E-commerce

B2B (Business to Business): B2B is selling of products or services through internet between business firms. For example a manufacturer selling products to distributors or wholesaler selling goods to retailer.

B2C (Business to Consumer)- It is the most common type of business. B2C model means Business selling goods and services to general customers. With the help of web these kind of business model have emerged greatly. Now on virtual stores it is really easy to chose, pay and get products.

C2C (Consumer to Consumer)– Consumer to consumer business model means business is conducted between consumers. For example, a consumer of a cycle re-selling his product to the consumer looking for a second hand cycle.

C2B (Consumer to Business) — Though a bit different from traditional model of selling, but in C2B model consumer Consumer offers goods and services to business and business pay to consumers. For example, photographers selling images to websites, hiring websites, and many more..

Advantages of e-Commerce

A few ecommerce advantages to Sellers:

24/7 availability to clients: Business can be available to the customers round the clock with the help of mobile application or ecommerce websites. It costs much less than having a physical store with all the staff and other utilities.

No Geographical Boundaries: with the help of an ecommerce website or mobile application your business can be accessed from any location.

Brand Awareness: if your business is online, more and more people can be reached. You can reach your target audience with search engines and aware everyone about your brand

Decrease in Inventory Management cost: By using a web based management system, the suppliers can decrease the cost of inventory management. With an automated inventory management, operational cost also decreases.

A few e-commerce advantages to Buyers:

24X7 Support: With ecommerce the biggest advantage to consumers is that they get 24X7 support for throughout the year. They can enquire about the products or services which makes buying decisions easier.

It Saves time and Money: with e-commerce, you don’t have to go to shopping or visit the store personally. You can access it from your mobile or computer. So it saves travelling time and money and provides a better shopping experience

Easy Comparisons: Now you can choose from multiple online stores, compare the price and get the best deal without any hassles.

Coupons and CashBack: on many ecommerce websites, shoppers get deals, bargains, discount coupons and cashback offers. Such offers not just increase sales but provides better shopping experience as well